Anyone watching/listening to the news?

[Skyesrocket]

I'm still having a hard time figuring this all out. If it is from subprime lending, then why don't the banks forgo or lesson the amount of increase in the interest rates? Isn't it better to get a portion of the money than to have houses going into default and sitting empty?
All I do know is that we baby boomers have been warned for years not to depend on SSI for retirement because it is going belly up, but it is still being taken out of our checks. So, we were told to invest in 401k's. Ok, we did...and we kept our 401k money in "safe stocks". From Jan 1st 2008 to today we have lost $11,000.00 by investing in safe stocks. We aren't old enough yet to withdraw from the 401k to try to hold onto what we have left. I feel like we have been putting money into the 401k weekly for nothing. Actually, we are losing money and can't do anything about it. We can't withdraw what is left to protect it. The government has rules about withdrawls.
I really wish I could understand this. We are not wealthy, but have taken a hard hit by trying to save for retirement.

 

[the1much]

Quote:
I don't think so. The Great Real Estate run-up of the last 8 years should have more than covered that aspect as houses were way over-valued.

I just don't think people here are desperate to sell or that it's a buyers market. Desperate to sell would mean you'd be willing to take what you owe on your house to get out from under the payments. People here aren't doing that. It has suprised me, given the foreclosure rate in this county.

The person who got foreclosed on on my street is someone who took several loans against their house, didn't pay ANY of their house payments, and took an African safari instead. Yeah, you are gonna get foreclosed on... No kidding.

how much is your dollar worth today compared to a year ago?,, about 37 cents,,,,has NOTHING to do with house value,,has EVERYTHING to do with the $ value.

 

[the1much]

Quote:
Thank you mtnhomechick

 

[DrakeMaiden]

I agree with Reinbeau & the1much. I have a hard time listening to the rationalization in the media for why we need this bailout -- because business runs on credit. OMG! Businesses can be run without relying on credit. I just don't buy it.

Frankly it ticks me off to hear the media say the bailout has failed thus far because "Americans just don't understand it." My feeling is that business leaders in this day and age "just don't get" the bottom line. I'm sorry if this has to affect the rest of the world, but even that doesn't justify the solution being offered.

If you haven't read the litterature, look up section 8 of the bail-out plan. This is a blank check they want signed.

Those of you with congress(wo)men who voted against the bill -- give them a call and thank them! Seriously. They have gotten spoken to since voting no by that 1% that want it passed.

 

[Rosalind]

The obvious alternative to a bailout is letting troubled financial institutions declare bankruptcy. Bankruptcy means that shareholders typically get wiped out and the creditors own the company.

Bankruptcy does not mean the company disappears; it is just owned by someone new (as has occurred with several airlines). Bankruptcy punishes those who took excessive risks while preserving those aspects of a businesses that remain profitable.

The problem I have with this is that the very extremely major banks will then be owned by China. I am not so cool with large chunks of our economy being owned by overseas governments. And yes, I realize that the House of Saud and numerous other governments of various types also own big chunks of the American economy, and I'm not cool with that either. I think we are selling our sovereignty for oil and plastic junk. For reasons of national security, I'd rather Americans owned an extremely resilient majority of the American economy.​

 

[the1much]

ya,, read the WHOLE bill,,,and find all the tax BREAKS they hid in there,,, is funny.

 

[mtnhomechick]

Quote:
Not funny........SAD......Real SAD.

 

[the1much]

sad but funny.. funny like ya kids trying to hide a toy under their pillow at night,, they keep doing it hoping we wont notice it,, night after night,,funny that people think everyone else but them are idiots,, funny like galiger getting ya covered with food, and thinking its still a surprise he did it,,,, and thats what them "smart" people need,,, fer regular folk to walk up to them and LAUGH in their faces.

 

[purplebaby]

Quote:
i cant speak about 401k's 'cause i cant afford one, but i can tell you that some banks are doing this sort of refi. they would rather have the amount they can get paid than nothing and become landholders. there are also unscrupulous people who are charging for this service for desperate people. all you need is to speak to your lender and ask what you can do..... all they can say is no. just be sure to get it in writing!

 

[I have WHAT in my yard?]

The other side of this is people like me and my husband. We did do everything right. We are very prudent with our spending and our investing. But, a company we were doing business with went belly up. They were in fine financial shape when we signed the contract but a year later they were in the toilet. They owed us over a hundred grand. We did nothing wrong and had a legal contract! But, bankruptcy law left us with nothing! Each of these business that go under owe other people money. The number two cause of bankruptcy for families in this country is medical expenses. Next in line is financial loss due to SOME ONE ELSE"S bankruptcy.

When this company went under it almost took us with it. It DID take three other small businesses down. When these big guys go down they'll take out alot of innocent people.

I more than most would love to see a perp walk and a few public hangings of a few of these high flyers who should have known they were gambling away other people's money. And, part of me wishes we would just go ahead and have a good old depression and shake off our obsession with status symbols.

But, I can't justify hurting so many people just to get my pound of flesh.